Re:How four Microsoft engineers proved that the “darknet” wo...
by tptacek on Friday November 30, 2012 @03:05PM
(#4855158)
Also, HBO collects revenue from real subscribers based on the promise of high-quality content down the road. They satisfy this requirement often enough that a huge portion of all cable subscribers automatically upgrade to HBO. An a la carte model would allow those subscribers to wait-and-see; instead of investing effort to get engaged with a show like Treme, they'd sit back and wait for the show's merit to be validated by other people, and opt in only to the shows that were immediately compelling.
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Re:How four Microsoft engineers proved that the “darknet” wo...
by 18pfsmt on Friday November 30, 2012 @03:33PM
(#4855302)
Interesting. I should probably clarify that I'm paraphrasing CEO Jeff Bewkes's thoughts given a couple quarters ago; these aren't my own thoughts. It seems like you have found further reasoning on your own which makes sense, and would give greater justifications to the execs to shy away from a la carte offerings. It just makes no business sense with two-tiered distribution and bundling.